v3.26.1
Note 15 - Commitments and Contingencies
3 Months Ended
Apr. 04, 2026
Notes to Financial Statements  
Commitments and Contingencies Disclosure [Text Block]

Note 15 Commitments and Contingencies

 

Tax Assessment

 

During the second quarter of 2024, the Israeli Tax Authority issued a Value Added Tax (VAT) assessment to the Company, in the amount of ILS 8.4 million (approximately $2.7 million), pertaining to claims of VAT between the years 2019 to 2023.

On August 6, 2025, the Company received the decision of the Israeli Tax Authority regarding the Company's appeal of the VAT assessment. The appeal was rejected, based on the same reasoning outlined in the original assessment issued to the Company. The Company deferred the assessment and with the assistance of its legal counsel appealed this decision to the court on January 18, 2026.

 

The Company believes that the liability for the assessment is not probable, and given the stage of this matter, the Company is currently unable to predict the likely outcome or estimate the potential financial impact, if any, of this matter.